Clover Health beat Wall Street expectations in the third quarter, helped by strong membership growth and better operations. Revenue rose 52.9% year on year to $759.3 million, against analyst estimates of $740.3 million. Adjusted earnings per share were $0.03, versus the $0.01 expected. Adjusted EBITDA reached $16.05 million, compared with estimates of $10.11 million. Operating margin improved to 0.8% from -4.9% a year earlier. Management credited Clover Assistant, its clinically focused AI tool, for better care and cost control. Chief executive officer Andrew Toy said greater use of the tool and disciplined growth lifted gross profit. Favourable inpatient trends and a stronger Part D drug line also helped. The company raised its full-year revenue guidance to a midpoint of $2.99 billion from $2.96 billion. It kept EBITDA guidance at $80 million. Membership reached 158,907.

AI stock rout pauses; Medicare cuts 340B & physician pay. AI selloff stabilizes as dip buyers return; CMS finalizes 340B cuts and physician pay reductions for 2027. No qualifying practice M&A deals this week. November 6, 2026 This week in brief * Healthcare Practice & Business Deals: No specific small- or medium-practice acquisitions or sales appeared in this week's healthcare feeds. * Global Markets & Macro: Markets stabilized this week after a bruising stretch. Healthcare Practice & Business Deals. No specific small- or medium-practice acquisitions or sales appeared in this week's healthcare feeds. The dominant stories were regulatory and financial rather than transactional. The biggest healthcare policy news this week came from CMS. Regulators finalized the 2027 outpatient hospital payment rule, delivering a lower-than-proposed rate increase. Key policy shifts on the 340B drug-pricing program and site-neutral payments were moderated from the original proposal but remained largely intact. Hospitals pushed back hard, saying the changes would strain already-thin margins. Separately, CMS finalized a physician payment rule that cuts Medicare reimbursement rates for 2027. Provider groups slammed the reduction, warning it would further destabilize medical practices across the country. Together, the two rules signal continued federal pressure on healthcare reimbursement heading into next year. On the financial side, Clover Health posted $130 million in profit for Q3 2026, up 77% year-over-year, and raised its full-year outlook. Oscar Health reported a 27% year-over-year membership increase, ending Q3 with 2.7 million members, calling it the company's strongest year on record. Neither transaction involves a practice acquisition, but both illustrate the momentum building inside Medicare Advantage. Global Markets & Macro. Markets stabilized this week after a bruising stretch. Here are the key stories driving sentiment. AI selloff finds a floor - for now. The S&P 500 suffered its steepest single-day drop in more than a year on fears of a clampdown on data center construction. Dip buyers moved in quickly, pausing the selloff. Chipmakers led the partial recovery after bearing the worst of the decline. Still, questions about AI valuations remain loud, with analysts and observers asking whether the broader AI trade has entered bubble territory. Taiwan intervenes after historic rout. Taiwan's benchmark equity index recorded its worst week in a quarter century as AI-linked shares collapsed globally. Authorities stepped in to impose short-selling limits and calm investor nerves. Meanwhile, European corporate bonds largely avoided the hammering, shielded in part by windfalls from debt deals tied to Meta Platforms and Alphabet. Hedge funds unwind crowded trades. October proved ugly for leveraged strategies. AI-focused positions unwound sharply, followed by macro shocks and credit scares. The rapid unwinding of crowded hedge fund trades added volatility on top of the equity selloff, raising concerns about systemic fragility in the broader market structure. Oil swings on Iran war diplomacy. Crude fell below $100 per barrel as traders unwound bets tied to conflict escalation, responding to diplomatic efforts aimed at de-escalating the Iran war. However, analysts cautioned that peace remains uncertain and energy market risk has not disappeared. Prices swung in both directions as headlines shifted rapidly. US midterms reshape the political landscape. Democrats delivered what analysts are calling a Watergate-level reset, winning control of Congress amid voter anger over inflation, the Iran war, and corruption concerns. The result puts pressure on the Trump administration and its tech-aligned donors. Democrats are expected to launch aggressive congressional oversight of health policy, drug pricing, and alleged pay-for-play arrangements tied to political donations. Silicon Valley donors are already said to be reassessing their political alignments ahead of 2028. What to watch. The coming week will test whether the AI trade's stabilization holds or rolls over again. Watch chipmaker earnings and any new data center policy signals from Washington. On the healthcare side, the finalized CMS reimbursement cuts take center stage - practice owners and group operators should model their 2027 revenue assumptions now, before the rules take full effect. Midterm results also open the door to serious congressional scrutiny of healthcare pricing and Medicare Advantage, which could move policy faster than many expect. Explore Tenet M&A. Tenet M&A helps physicians and practice owners navigate healthcare M&A. Start here: Editorial note, image use & corrections. This report is compiled and summarized from publicly available news sources; figures and details should be independently verified. Accompanying images are used under Creative Commons or public-domain licenses (sourced via Openverse) and credited where required. If you believe any content - written or image - has been used in error, is inaccurate, or infringes your rights, or you wish to request a correction or removal, please contact Tenetma Report at [email protected] and Tenetma Report will address it promptly. What do these market moves mean for your practice value? Get a confidential read on what your practice is worth in today's market. About Tenet Mergers & Acquisitions Tenet Mergers & Acquisitions is a sell-side advisory firm for healthcare practice owners exploring a sale, partnership or transition. Thinking about selling your medical practice? Get a confidential practice valuation. 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Clover Health Investments (NASDAQ:CLOV) reported a third-quarter profit and raised the low end of its 2026 guidance. It expects its first full year of GAAP profitability. The Medicare Advantage insurer posted revenue of $759 million, up 53% from a year earlier. Net income was $6 million, against a $24 million loss a year ago. Gross profit rose 77% to $130 million, and adjusted EBITDA reached $16 million. For 2026, Clover now expects GAAP net income of $25 million to $35 million and revenue of $2.97 billion to $3 billion. It still expects a seasonal adjusted EBITDA loss in the fourth quarter. The company ended the quarter with about $513 million in cash and investments and no debt.